After completing Lesson 3-2, you will be able to:
- Identify accounting concepts and practices related to journalizing transactions.
- Record transactions to set up a business in a general journal.
- Record transactions to buy insurance for cash and supplies on account in a general journal.
Notes 3-2
- Obtain a Notes 3-2 handout from your instructor and record your notes through the presentation. You can also view the presentation here.
Working Together 3-2
- Make a copy of this spreadsheet.
- Place this file in your Chapter 3 folder.
- Rename the file to Lesson 3-2-(Your Initials)
- Complete the spreadsheet according to the directions on page 67 or below.
- A journal is given in the Working Papers. Your instructor will guide you through the following example. Norm Derner owns Derner Copy Center, which uses the following accounts.
Cash Accts. Pay.-Palm Supply Miscellaneous Expense Accts. Rec.-L. Rohe Norm Derner, Capital Rent Expense Supplies Norm Derner, Drawing Utilities Expense Prepaid Insurance Sales
On Your Own 3-2
- A journal is given in the Working Papers. Work this problem independently.Lou James owns Lou’s Service Center, which uses the following accounts.
Cash Accts. Pay.-OK Supplies Advertising Expense Accts. Rec.-C. Lord Lou James, Capital Miscellaneous Expense Supplies Lou James, Drawing Rent Expense Prepaid Insurance Sales
Self-Assessment 3-2
- Complete this self-assessment for Lesson 3-2. You can use your textbook and notes to complete this assessment.
Lesson 3-2 Assignment
- Using your Lesson 3-2 spreadsheet, click on the Application Problem 3-2 sheet at the bottom left, and complete the problem as directed on page 79 or below.
Dennis Gilbert owns a service business called D & G Company, which uses the following accounts.
| Cash | Accts. Pay.-Scott Supplies | Miscellaneous Expense |
| Accts. Rec.-Covey Company | Dennis Gilbert, Capital | Rent Expense |
| Supplies | Dennis Gilbert, Drawing | Utilities Expense |
| Prepaid Insurance | Sales |